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Tag: Personal Finance

Living is not all about how you spend but how you live. You don’t need to spend thousands of bucks for your live. That’s a maxim of fools and only fools lose much money.

You can easily hear people having problems with bad credits. You can see people having wrinkles on how to pay their four credit card balances. Houses are closed by mortgage banks and institution leaving the owner homeless, desolate, and in the right term, impoverished.

Why all these happens?

They are too wise – spenders. They spend much of their monthly income over unnecessary materials and end in depending on credit cards to live for the month.

They are too wise – investors. They spend their money down paying house, cars and other materials all in one blow sending their savings to zero and in due time, their monthly income to nothing. Not enough cash flow results to dryness of the pocket.

They are too – wise workers. They are eating in luxurious restaurants to impress people with their job but in due time, they will be scavengers in the street without a single Washington penny in their pocket.

That’s what happens to wise people. But are you wiser than them? You must be!

Live Below your Means and Live

The new life maxim is live below your means and live; not live, eat and be happy.

If you want to live happier with the best freedom that you can have from financial woes, it is good to spend your money wisely. The key to happiness is not much money but contentment. You need to live with what you have and throw your money to savings account in banks. A nice investment, right?

Spending lesser than what you can earn is an important dictum that you should have. You need to spend less and earn more. You need spend lesser and save more. It is the best balance that you need to have if you want to have a financial freedom that you can enjoy with the best day of your life.

Spending less will give you more savings. You do not need to have a mortgage loan for your house. All you need to do is save a lot to get that. A loan will give you problems with interest but paying the house with your savings is ownership at the instant.

Spending less will give you better days. You can easily buy your car if you take time to have it. Just wait. You spend lesser than what you earn every month and save much money for your car. Spend less and you will have what you need.

Living below your ability is an important maxim to follow in this tough world. You cannot just rest your life over things that you don’t need. If you want bigger things in future, it takes time. You need to discipline yourself and make a sizable nest where you can lay in the future.

Spend below your means will make you a better man; a refined businessperson; a developed individual and a genuine millionaire in the future.

You know, we always heard of people talking about delaying satisfying your needs and wants to a future time. For instance, we delayed our desire to buy a BMW, a 30 inch LCD television or even going for a luxurious holiday?

Many financial planning experts or even successful motivators would have told you that you would need to practice delayed gratifications in order to succeed in the long run, but is that the truth? Is that how one will succeed?

Let us start by thinking about the definition of gratification. In short, it’s about being gratified. It’s about satisfying a need or a want. A need can be something we require on the most basic requirement for survival whereas a want can be something that we dream to have.

If what we need and what we want is something that is going to cost us – whether be it money or time, then we would always need to practise delayed gratification.

Come to think about it, if what we want or need does not depend on things or any object, then there’s no such thing as delayed gratification. In another words, we are not materialistic and our happiness or what we value in life would depend on the process rather than the results.

For a moment, do you remember a time when you are having your lowest point in life yet now when you look back, it’s one of your happiest moment in life?

You see, you feel happy because of the people around you and spending quality time with them.

Think about it this way, if your happiness or your desire no longer depends on the material stuff, there won’t be anything much for gratification.

Some of the richest people in this world live by this philosophy, even when they become rich, they still live in the same place when they are young.

If you practise this too, you will realize that you will become much more successful and you will be much happier.

The most important thing is you will enjoy the process of becoming a millionaire.